Are you making this costly Social Security mistake? Find out why this mistake could hurt your retirement
- Replies 0
If you’re nearing retirement, you’ve probably spent years looking forward to the day those Social Security checks finally start arriving.
It’s a well-earned benefit—one many people rely on.
But here’s something most folks don’t realize: a growing number of Americans are making a decision about Social Security that could cost them tens of thousands of dollars over time.
And it’s not because they’re careless—it’s often because of fear, confusion, and the constant noise in the headlines.
At The GrayVine, we believe in facts over fear.
Let’s unpack what’s really going on with Social Security, why many are rushing to claim benefits early, and—according to financial experts—how you can make the best choice for your future.
Recent data shows a sharp rise in Americans filing for Social Security benefits as soon as they become eligible—sometimes as early as age 62.
In fact, pending claims for retirement, survivor, and health insurance benefits jumped to nearly 581,000 last month, up from about 500,000 a year ago.
So why the rush?
The short answer: fear.
A recent Gallup poll found that more than 75% of US adults are very worried about the future of Social Security.
With ongoing news coverage about funding concerns, political debate, and public commentary from high-profile figures, it’s understandable that some people feel uncertain.
But is that fear justified? And is claiming early the smartest move?
Many people don’t realize that taking Social Security before your full retirement age can permanently reduce your monthly benefit.
Wait until age 70, and your monthly check could be up to 76% higher than if you started at 62, according to Boston University economist Laurence Kotlikoff.
Let’s break it down: For example, if you're eligible for $1,000 a month at age 62, waiting until 70 could increase your monthly benefit to $1,760. Over a 20-year retirement, that’s an extra $182,000.
Financial experts agree—unless you’re in urgent need, it often pays to wait, especially if you expect to live well into your 80s or 90s.
So why do people still claim early?
Much of it boils down to fear, fueled by headlines about Social Security running out of money.
It’s true the trust fund is projected to be depleted by 2035 if Congress doesn’t act—but that doesn’t mean the program will disappear.
Here’s what you should know:
Unlike your 401(k) or IRA, Social Security isn’t impacted by stock market swings.
It’s a guaranteed, inflation-adjusted check for life—providing dependable income even during economic downturns.
Retirement expert Chris Orestis calls Social Security “one of the great virtues” of retirement planning. It offers stability, especially when markets are volatile or unexpected costs arise.
Of course, every situation is unique. Sometimes, claiming early is the right move:
But for most people, delaying brings bigger rewards.
Here are a few steps to help you make a thoughtful, confident decision:
With so much noise about Social Security’s future, it’s easy to feel anxious.
But rushing to claim early could cost you in the long run.
Take time to get informed, review your options, and choose what’s best not just for today—but for the decades ahead.
Read next: Retirees must see: This new Social Security update could affect your future
Have you already claimed Social Security, or are you still weighing your options? What questions or concerns do you have about retirement planning? Share your story in the comments—your experience could help someone else in The GrayVine community!
It’s a well-earned benefit—one many people rely on.
But here’s something most folks don’t realize: a growing number of Americans are making a decision about Social Security that could cost them tens of thousands of dollars over time.
And it’s not because they’re careless—it’s often because of fear, confusion, and the constant noise in the headlines.
At The GrayVine, we believe in facts over fear.
Let’s unpack what’s really going on with Social Security, why many are rushing to claim benefits early, and—according to financial experts—how you can make the best choice for your future.
Reviewing your options before claiming Social Security can lead to significantly higher lifetime benefits. Image Source: YouTube / WFAA.
The rush to claim early: what’s driving the trend?
Recent data shows a sharp rise in Americans filing for Social Security benefits as soon as they become eligible—sometimes as early as age 62.
In fact, pending claims for retirement, survivor, and health insurance benefits jumped to nearly 581,000 last month, up from about 500,000 a year ago.
So why the rush?
The short answer: fear.
A recent Gallup poll found that more than 75% of US adults are very worried about the future of Social Security.
With ongoing news coverage about funding concerns, political debate, and public commentary from high-profile figures, it’s understandable that some people feel uncertain.
But is that fear justified? And is claiming early the smartest move?
The high cost of claiming early
Many people don’t realize that taking Social Security before your full retirement age can permanently reduce your monthly benefit.
Wait until age 70, and your monthly check could be up to 76% higher than if you started at 62, according to Boston University economist Laurence Kotlikoff.
Let’s break it down: For example, if you're eligible for $1,000 a month at age 62, waiting until 70 could increase your monthly benefit to $1,760. Over a 20-year retirement, that’s an extra $182,000.
Financial experts agree—unless you’re in urgent need, it often pays to wait, especially if you expect to live well into your 80s or 90s.
Also read: Mass retirements are causing a Social Security crisis—is your future at risk?
Why the panic? Separating fact from fiction
So why do people still claim early?
Much of it boils down to fear, fueled by headlines about Social Security running out of money.
It’s true the trust fund is projected to be depleted by 2035 if Congress doesn’t act—but that doesn’t mean the program will disappear.
Here’s what you should know:
- Social Security is not going away. Even without changes, payroll taxes will still fund about 80% of scheduled benefits.
- Congress has intervened before. Lawmakers have a long track record of making necessary adjustments—and are expected to do so again.
- Fear shouldn’t drive your decision. Kathleen Romig from the Center on Budget and Policy Priorities says, “Fearmongering has driven people to claim benefits earlier.” That could mean leaving significant money behind.
Also read: This new Social Security change could shake up your retirement plans–What experts have to say about it
The real value of Social Security
Unlike your 401(k) or IRA, Social Security isn’t impacted by stock market swings.
It’s a guaranteed, inflation-adjusted check for life—providing dependable income even during economic downturns.
Retirement expert Chris Orestis calls Social Security “one of the great virtues” of retirement planning. It offers stability, especially when markets are volatile or unexpected costs arise.
Also read: Social Security chief’s final plea: Will his bold move work to save your benefits?
When claiming early does make sense
Of course, every situation is unique. Sometimes, claiming early is the right move:
- Health concerns: If you have a serious condition or shorter life expectancy.
- Financial need: If you’re out of work or without income, Social Security can help.
- Spousal strategies: Some couples benefit from having one spouse claim early and the other wait.
But for most people, delaying brings bigger rewards.
Also read: Government secrets exposed! Social Security 'lies' cost one woman $304K—Protect your money now!
How to make the best decision for you
Here are a few steps to help you make a thoughtful, confident decision:
- Know your full retirement age. Check your statement or visit SSA.gov to confirm.
- Estimate your benefits. Use SSA’s calculators to see how the timing of your claim affects your monthly check.
- Factor in your health and family history. If your family tends to live long, you might, too!
- Talk to a financial advisor. They can help you explore all your options.
- Ignore the panic. Social Security has lasted nearly 90 years—it’s not vanishing anytime soon.
With so much noise about Social Security’s future, it’s easy to feel anxious.
But rushing to claim early could cost you in the long run.
Take time to get informed, review your options, and choose what’s best not just for today—but for the decades ahead.
Read next: Retirees must see: This new Social Security update could affect your future
Have you already claimed Social Security, or are you still weighing your options? What questions or concerns do you have about retirement planning? Share your story in the comments—your experience could help someone else in The GrayVine community!
